Dale Pollak discusses current market conditions and new projects from Cox Automotive

On today’s show, we’re pleased to welcome back Dale Pollak, founder of vAuto and executive vice president of Cox Automotive, to discuss the state of the automotive industry and the launch of ProfitTime 2.0.

While dealers had a remarkable year despite uniquely challenging circumstances, Pollak reminds us that these market conditions will be short-lived. Reduced mass transit usage, unprecedented stimulus money, and lower-household expenses all contributed to an uptick in car sales. However, Pollak cautions dealers that this is not the new normal, this is a one-time event.

One lesson dealers learned over the past year is that they could do more with less. If dealers invested wisely in their digital retailing solutions, then they could execute online sales with less staff. Pollak warns that good business conditions often lure dealers into a false sense of comfort, so dealerships will need to stay disciplined with their operations.

Dealers have reason to be optimistic though. With a round of stimulus checks sent out in December and rumors of more on the way, there is potential for another surge in the used car market. Pollak says that the COVID vaccine will increase consumer confidence as well.

Dealers, however, need to stay on top of their business strategies regardless. They won’t be successful through software alone. As the automotive environment changes, vAuto’s velocity management software is no longer as effective as it once was by Pollak’s own admission. Therefore, they have launched vAuto’s ProfiTime and ProfitTime 2.0. These programs aim to help dealers build an entire strategy around their operation.

As a reminder, Cox Automotive will have great content for this year’s upcoming virtual NADA show. This is an important opportunity for dealers to grow and learn, and Pollak hopes they take advantage of it. In addition to NADA preparations, Pollak is working on his sixth book which focuses on the wholesale side of the business. The wholesale market is big, messy, and inefficient with a lot of half-truths going on. Pollak wants to put a spotlight on those half-truths and present more rational ways to approach them. Stay tuned for more updates from Cox Automotive.

Dale Pollak’s career in the automotive industry spans more than three decades. He began his journey as dealer principal for a Chicago-based Cadillac dealership, where he served for 13 years. Prior to starting vAuto, Pollak helped build and lead Digital Motorworks, Inc., to its successful acquisition in 2002. vAuto was founded in 2005 and acquired by Cox Automotive in 2010. Dale has also written five books, the latest of which, Gross Deception, was released last year.